John Hammergren has earned $692 million in the past 10 years as chairman and CEO of the Fortune 100 pharmaceutical company McKesson since 2002. This staggering figure highlights the immense financial success of not only Hammergren himself but the pharmaceutical giant McKesson, which distributes health care systems, medical supplies, and pharmaceutical products. Remarkably, McKesson stands as the 5th highest revenue-generating company in the United States, a testament to its significant impact on the health care sector.
However, the company's success has not come without controversy. The Teamsters union has raised serious allegations, arguing that McKesson has played a significant role in fueling the U.S. opioid epidemic through the distribution of powerful pain medications like oxycodone and hydrocodone. With more than $30 million in McKesson shares, the Teamsters are advocating for the installation of an independent board chairman from outside the company, indicating a lack of confidence in the current leadership.
As McKesson faces scrutiny, state treasurers from West Virginia, Illinois, and Pennsylvania have voiced their support for an independent chairman and have called for a compensation metric that ties executive pay to progress in combating the opioid crisis. This growing concern reflects a broader unease among shareholders about the company’s financial exposure and the reputational, legal, and regulatory risks it faces. The situation underscores a critical need for transparency and accountability in the pharmaceutical industry.
| Detail | Information |
|---|---|
| Name | John Hammergren |
| Position | Chairman and CEO |
| Company | McKesson Corporation |
| Earnings (last 10 years) | $692 million |
| Founded | 1833 |
| Headquarters | San Francisco, California |
| Industry | Pharmaceuticals |
| Revenue Ranking (US) | 5th |
- McKesson distributes health care systems, medical supplies, and pharmaceutical products.
- The Teamsters union holds more than $30 million in McKesson shares.
- McKesson has faced legal and financial scrutiny due to the opioid epidemic.
- State treasurers support the call for an independent chairman and compensation metrics.
The scrutiny surrounding Hammergren's compensation and McKesson's practices in the context of the opioid crisis highlights a critical conversation about ethics and accountability in the pharmaceutical industry. As stakeholders demand more transparency and responsibility, the future direction of companies like McKesson may hinge on their willingness to address these pressing issues.
